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Tesla Holiday Update: New UI for Model 3 and Y, Light Show, blind spot camera improvements & more
Just a few days before Christmas, Tesla is kicking off the holidays with a bang. This year’s Holiday Update includes a few fun surprises for Tesla owners, including new games and a few other fun features.
Teslascope, a Tesla software update tracker service, has shared that the 2021.44.25 update is being rolled out to employees for now, with a wide release following in the lead up to Christmas. Reports shared online suggest that the update works very smoothly on vehicles like the Model 3 and Model Y, however.
New Features
First off is the Light Show, which enables Tesla vehicles to dance to a choreographed light show any time of the year. The feature was a signature trick of the Model X, so it is pretty interesting that Tesla is now rolling it out to the other vehicles in its lineup. The Light Show feature can be accessed through the Toybox.
In its Holiday Update, Tesla also introduced the Customizable App Launcher, allowing owners to customize the menu bar in their infotainment systems. This should go perfectly hand-in-hand with the Model 3 and Model Y’s update UI, which now matches the interface of the Model S Plaid and new Model X that were rolled out this year.
“Drag and drop your favorite apps to any position along the bottom menu bar for easy access. To customize your menu bar, hold any icon and then drag to reorder. To adjust climate controls such as heated seats and defrost, tap on the temperature or swipe up from the bottom of the screen,” the update’s Release Notes read.
Feature Improvements
As with any update, Tesla improved a few key features, including vehicle controls, blind spot monitoring, and Waypoints.
Simplified Controls makes it easier for Tesla owners to focus on navigation, media, and the most common primary controls. The improvement should make accessing features in the infotainment system easier, so driving or operating a Tesla may be more convenient and perhaps even safer.
The Blind Spot Camera feature is probably one of the best improvements in the Tesla Holiday update, as it provides vehicles with a video feed showing their blind spot when a turn signal is activated. “You can now automatically see a live camera view of your blind spot whenever you activate the turn signal,” the Release Notes for the feature read.
The Blind Spot Camera feature will most likely improve the safety of Tesla’s vehicles. Tap Controls>Autopilot>Automatic Blind Spot Camera to enable the feature.
Tesla also made trips easier with Edit Waypoints. The navigation improvements will probably be quite useful to families taking trips this holiday. The feature allows drivers to reorder or add multiple destinations to their route. Edit Waypoints will update the arrival times for each change on the route. “To add a stop, or edit a trip, initiate a navigation route, and tap the more options button not he turn list,” wrote Tesla on the Edit Waypoints Release Notes.
New Arcade Improvements
Being a Holiday Update, 2021.44.25 is rife with a number of improvements for Tesla Theater and Tesla Arcade. Access to a popular social media platform has also been enabled.
First up is Sonic the Hedgehog, which Elon Musk himself announced on Twitter recently. Multiplayer support for The Battle for Polytopia has also been enabled, which should make in-car gaming sessions even more fun.
Sudoku has also been added to the Tesla Arcade, complete with a mode that includes a smart hint system for beginners. Also, the popular social media app TikTok is now accessible to Teslas.
Other Improvements
Update 2021.44.25 is not all fun and games. Tesla included some Cold Weather Improvements to its Holiday Update, too. Preconditioning the cabin from the Tesla Mobile App when the battery is at a lower state of charge is now enabled. First row seat heaters can now automatically regulate seat temperatures based on the cabin’s environment and control set temperature.
Managing dashcam clips is also easier, as videos can now be deleted directly from the infotainment system. Themes for the infotainment system have been rolled out, too. For instance, Dark Mode is now available for Tesla displays. Dark Mode may be a simple update, but it could make vehicles safer, as a darker display reduced the chance of screen glare for the driver.
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Tesla Model 3 and Model Y dominates U.S. EV market in 2025
The figures were detailed in Kelley Blue Book’s Q4 2025 U.S. Electric Vehicle Sales Report.
Tesla’s Model 3 and Model Y continued to overwhelmingly dominate the United States’ electric vehicle market in 2025. New sales data showed that Tesla’s two mass market cars maintained a commanding segment share, with the Model 3 posting year-to-date growth and the Model Y remaining resilient despite factory shutdowns tied to its refresh.
The figures were detailed in Kelley Blue Book’s Q4 2025 U.S. Electric Vehicle Sales Report.
Model 3 and Model Y are still dominant
According to the report, Tesla delivered an estimated 192,440 Model 3 sedans in the United States in 2025, representing a 1.3% year-to-date increase compared to 2024. The Model 3 alone accounted for 15.9% of all U.S. EV sales, making it one of the highest-volume electric vehicles in the country.
The Model Y was even more dominant. U.S. deliveries of the all-electric crossover reached 357,528 units in 2025, a 4.0% year-to-date decline from the prior year. It should be noted, however, that the drop came during a year that included production shutdowns at Tesla’s Fremont Factory and Gigafactory Texas as the company transitioned to the new Model Y. Even with those disruptions, the Model Y captured an overwhelming 39.5% share of the market, far surpassing any single competitor.
Combined, the Model 3 and Model Y represented more than half of all EVs sold in the United States during 2025, highlighting Tesla’s iron grip on the country’s mass-market EV segment.
Tesla’s challenges in 2025
Tesla’s sustained performance came amid a year of elevated public and political controversy surrounding Elon Musk, whose political activities in the first half of the year ended up fueling a narrative that the CEO’s actions are damaging the automaker’s consumer appeal. However, U.S. sales data suggest that demand for Tesla’s core vehicles has remained remarkably resilient.
Based on Kelley Blue Book’s Q4 2025 U.S. Electric Vehicle Sales Report, Tesla’s most expensive offerings such as the Tesla Cybertruck, Model S, and Model X, all saw steep declines in 2025. This suggests that mainstream EV buyers might have had a price issue with Tesla’s more expensive offerings, not an Elon Musk issue.
Ultimately, despite broader EV market softness, with total U.S. EV sales slipping about 2% year-to-date, Tesla still accounted for 58.9% of all EV deliveries in 2025, according to the report. This means that out of every ten EVs sold in the United States in 2025, more than half of them were Teslas.
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Tesla Model 3 and Model Y earn Euro NCAP Best in Class safety awards
“The company’s best-selling Model Y proved the gold standard for small SUVs,” Euro NCAP noted.
Tesla won dual categories in the Euro NCAP Best in Class awards, with the Model 3 being named the safest Large Family Car and the Model Y being recognized as the safest Small SUV.
The feat was highlighted by Tesla Europe & Middle East in a post on its official account on social media platform X.
Model 3 and Model Y lead their respective segments
As per a press release from the Euro NCAP, the organization’s Best in Class designation is based on a weighted assessment of four key areas: Adult Occupant, Child Occupant, Vulnerable Road User, and Safety Assist. Only vehicles that achieved a 5-star Euro NCAP rating and were evaluated with standard safety equipment are eligible for the award.
Euro NCAP noted that the updated Tesla Model 3 performed particularly well in Child Occupant protection, while its Safety Assist score reflected Tesla’s ongoing improvements to driver-assistance systems. The Model Y similarly stood out in Child Occupant protection and Safety Assist, reinforcing Tesla’s dual-category win.
“The company’s best-selling Model Y proved the gold standard for small SUVs,” Euro NCAP noted.
Euro NCAP leadership shares insights
Euro NCAP Secretary General Dr. Michiel van Ratingen said the organization’s Best in Class awards are designed to help consumers identify the safest vehicles over the past year.
Van Ratingen noted that 2025 was Euro NCAP’s busiest year to date, with more vehicles tested than ever before, amid a growing variety of electric cars and increasingly sophisticated safety systems. While the Mercedes-Benz CLA ultimately earned the title of Best Performer of 2025, he emphasized that Tesla finished only fractionally behind in the overall rankings.
“It was a close-run competition,” van Ratingen said. “Tesla was only fractionally behind, and new entrants like firefly and Leapmotor show how global competition continues to grow, which can only be a good thing for consumers who value safety as much as style, practicality, driving performance, and running costs from their next car.”
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Tesla is shifting FSD to a subscription-only model, confirms Elon Musk
Tesla CEO Elon Musk confirmed the upcoming update in a post on social media platform X.
Tesla will be ending one-time purchases of its Full Self-Driving (FSD) system after Valentine’s Day, transitioning the feature to a monthly subscription-only model.
Tesla CEO Elon Musk confirmed the upcoming update in a post on social media platform X.
No more FSD one-time purchases
As per Elon Musk in his post on X, “Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.” This marks a shift in how Tesla monetizes its FSD system, which can now be purchased for a one-time fee or accessed through a monthly subscription.
FSD’s subscription model has been $99 per month in the United States, while its one-time purchase option is currently priced at $8,000. FSD’s one-time purchase price has swung wildly in recent years, reaching $15,000 in September 2022. At the time, FSD was proficient, but its performance was not on par with v14. This made its $15,000 upfront price a hard sell for consumers.
Tesla’s move to a subscription-only model could then streamline how the company sells FSD. It also lowers the entry price for the system, as even price-conscious drivers would likely be able to justify FSD’s $99 monthly subscription cost during periods when long-distance travel is prevalent, like the holidays.
Musk’s compensation plan and FSD subscription targets
Tesla’s shift to a subscription-only FSD model comes amidst Musk’s 2025 CEO Performance Award, which was approved by Tesla shareholders at the 2025 Annual Shareholders Meeting with roughly 75% support. Under the long-term compensation plan, Musk must achieve a series of ambitious operational milestones, including 10 million active FSD subscriptions, over the next decade for his stock awards to vest.
The 2025 CEO Performance Award’s structure ties Musk’s potential compensation to Tesla’s aggressive targets that span market capitalization, vehicle deliveries, robotics, and software adoption. Apart from his 10-million active FSD subscription target, Musk’s compensation is also tied to Tesla producing 20 million vehicles cumulatively, delivering 1 million Tesla bots, and having 1 million Robotaxis in operation. He must also lead Tesla to a market cap of $8.5 trillion.
If successful, Elon Musk’s 2025 CEO Performance Award could make him the world’s first trillionaire. It could also help Tesla become the world’s most valuable company by market cap by a notable margin.
Tesla Model 3 and Model Y dominates U.S. EV market in 2025
Tesla Model 3 and Model Y earn Euro NCAP Best in Class safety awards
